Paschal Donohoe (Dublin Central, Fine Gael)
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The main function of the Credit Union Advisory Committee (CUAC) is to advise me, as Minister for Finance, and such other persons as I deem appropriate in relation to:

• the improvement of the management of credit unions
• the protection of the interests of members and creditors of credit unions; and
• other matters relating to credit unions upon which I, the Central Bank or such other persons, as may be specified by me, may from time to time seek the advice of the CUAC.

CUAC were extensively involved in the review the legislative framework within which credit unions operate. The output of this review is the Credit Union (Amendment) Act 2023 (2023 Act) which represents a very significant piece of legislation that will have far-reaching positive implications for the credit union sector in the years to come.

The 2023 Act also assigns CUAC a role in respect of various provisions contained therein. For example, under Section 38 of the Credit Union Act 1997 (as amended) the Minister for Finance must consult with CUAC before specifying the maximum interest rate that credit unions can charge on a loan.

To support the credit union sector my predecessor, Minister McGrath requested that the CUAC review implementation of the 2023 Act. CUAC will assess progress in implementation, gather data on activity under select areas and highlight any barriers or challenges to utilising the 2023 Act. CUAC have completed their first report, and I am currently considering its findings.

CUAC also have a statutory consultation function with the Central Bank of Ireland on credit union matters. In Quarter 2, the CUAC will be consulted by the Central Bank under Consultation Paper 159 - Consultation on Proposed Changes to the Credit Union Lending Regulations. The proposed amendments by the Central Bank of Ireland will enable credit unions to provide more house lending and business loans to its members.

As outlined in the Programme for Government, this Government will support the sector in developing a strategy to ensure credit unions can fully leverage new opportunities. Minister Troy is currently considering the most appropriate path forward to deliver an effective strategy for the sector and will be assisted by CUAC advice.